Bitcoin Price Poised for Decisive Move, Could Impact XRP, LTC, RNDR, and CFX
Inexperienced traders often get swept up in the excitement of a bull market and end up chasing prices higher, but institutional investors tend to wait for the hype to die down before entering the market. The bear market of 2022 has ended the frenzy that was seen in 2021, and now institutional investors and portfolio managers are taking a serious look at Bitcoin as a potential investment opportunity.
While long-term projections for Bitcoin are bullish, the short-term picture is uncertain as the price has been stuck in a range for the past few days. Analysts are expecting a trending move to start in the next week or two.
If Bitcoin breaks out to the upside, what altcoins may follow suit? Let’s analyze the charts of the top five cryptocurrencies that may rally in the short term.
Bitcoin Price Analysis
Bitcoin has been trading near the support line of a symmetrical triangle, but the bulls have failed to push the price above it, indicating that bears are active at higher levels. The downsloping 20-day exponential moving average and the relative strength index below 42 suggest that bears are at an advantage.
If sellers sink the price below the immediate support at $26,361, the BTC/USDT pair may tumble to the crucial support zone between $25,800 and $25,250. Buyers are expected to protect this zone with all their might because if they fail, the pair could nosedive to $20,000.
On the other hand, if bulls manage to push the price above the 20-day EMA, it may attract further buying, and the pair could rise towards the resistance line of the triangle. If this barrier is overcome, the pair may start its journey to $32,400.
XRP Price Analysis
XRP is attempting to start a recovery, with buyers sustaining the price above the 20-day EMA since May 16. However, they have not been able to overcome the obstacle at the 50-day SMA. The 20-day EMA has started to turn up, and the RSI is just above the midpoint, indicating that bulls have a slight advantage.
This increases the likelihood of a rally above the 50-day SMA, which could send the XRP/USDT pair to $0.54 and eventually to $0.58. The first support to watch on the downside is the 20-day EMA, and if sellers manage to yank the price below this level, the pair may descend to $0.43 and later to the crucial support at $0.40.
Litecoin Price Analysis
Litecoin has been trading in a tight range between the 50-day SMA and the overhead resistance of $96 for the past few days, indicating indecision between the bulls and the bears. However, the 20-day EMA has turned up, and the RSI is in the positive territory, suggesting that the bulls have the edge.
This enhances the prospects of a rally above the resistance at $96, which could send the LTC/USDT pair to $106. If the price turns down and plummets below the moving averages, it will suggest that the pair may remain stuck between $79 and $96 for some more time.
RNDR Price Analysis
RNDR is currently in an uptrend, with buyers kicking the price above the overhead resistance of $2.60 on May 21. The upsloping moving averages and the RSI just below the overbought area indicate that bulls are in command.
If buyers manage to propel the price above the psychological barrier at $3, the RNDR/USDT pair may rally to $3.35. The first support to watch on the downside is the 20-day EMA, and if this level gives way, it will suggest that the breakout was a false alarm, and the pair may drop to $1.50.
CFX Price Analysis
CFX has been trading in a range between $0.30 and $0.40 for the past few days, indicating indecision between the bulls and the bears. The 20-day EMA is flat, and the RSI is close to the midpoint, indicating a balance between supply and demand.
If the bulls can push the price above $0.40, the CFX/USDT pair could rally to $0.47. On the other hand, if the bears sink the price below $0.30, the pair may drop to the 50-day SMA.
Bitcoin’s price is poised for a decisive move, and it could impact the prices of XRP, LTC, RNDR, and CFX. While institutional investors are taking a serious look at Bitcoin as a potential investment opportunity, the short-term picture remains uncertain. Analysts are expecting a trending move to start in the next week or two, so traders should keep an eye on the charts of these top five cryptocurrencies to identify potential entry and exit points.